Solana (SOL) Project Analysis

1. Research Comment

It is one of a few powerful public chains that can compete with Ethereum. It has over 500 projects in its ecosystem. It is able to perform 2378 transactions per second, and has performed over 30 billion transfers so far in total, with only 0.00025 dollar for each transfer.

2. Recent Flashpoint

Hit a new rise record

3.Token Introduction

Solana is a single-chain delegated proof-of-stake protocol. The core of its scaling solution is a decentralized tick called "Proof of History (PoH)", which aims to solve the time problem of no single trusted time source in a distributed network. By using a verifiable delay function, PoH allows each node to use SHA256 algorithm to generate a time stamp locally. This eliminates the need to broadcast timestamps across the network and improves overall network efficiency. Solana's mission is to support all high-growth and high-frequency blockchain applications and democratize the world's financial system. The core of Solana is:

Scalability: Solana can support more than 50,000 transactions per second while maintaining a block time of 400 milliseconds.

Decentralization: By using the Turbine block broadcast protocol, the platform can support thousands of nodes while maintaining high performance and scalability.

Low execution cost: The transaction cost on the network is estimated to be 1 million transactions at a cost of $10.

4. Token Roles

SOL is the native asset of the Solana blockchain. It is used for:

Staking: Solana is enabling inflation rewards for staking SOL tokens in exchange for powering and supporting the network.
Transaction fees: Users can use SOL tokens to pay for simple token transactions and smart contract execution fees on the network.
Governance: SOL tokens will be used for governance voting in the future.